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SEOUL May 6 (Reuters) - South Korean battery maker LG Chem
Ltd plans to begin commercial production at its U.S.
factory in July and will initially supply its products to
General Motors Co's Volt electric vehicles, it said on
Monday.

"Volume is expected to consistently increase depending on
the electric vehicle market and securing additional contracts,"
LG Chem said in a statement.

With U.S. government funding worth over $150 million, LG
Chem has built a $304 million lithium-ion battery cell
manufacturing plant in Michigan, aiming to produce enough
battery cells annually to equip 60,000 electric vehicles by the
end of 2013.

It has not started production because demand for electric
vehicles such as the Volt has been lower than expected. LG Chem
supplies electric car batteries for the Volt and Ford Motor Co's
Focus Electric from its South Korean facilities, among
other customers.